Beyond Urea: Farmers Embrace Advanced Fertilizers

Farmers in India are increasingly turning to specialty fertilizers, noting their superior nutrient-use efficiency, which can surpass 80% compared to significantly lower rates for conventional options like urea. Companies like Deepak Fertilisers have launched crop-specific nutrient baskets, including NPK-plus products and micronutrients, to meet this growing demand.

Despite being more expensive, these specialty products are gaining traction as farmers seek to enhance soil health and crop resilience against climate variability. The Indian specialty fertilizer sector, encompassing water-soluble options, biostimulants, and micronutrients, is currently valued at approximately Rs 8,232 crore. Industry stakeholders are advocating for policy changes to support the broader adoption of these non-subsidized fertilizers.

Concerns remain regarding the high subsidy outgo for conventional fertilizers, which reached Rs 2.17 lakh crore in FY26, and the environmental impact of their excessive use, including soil degradation. The growth of specialty fertilizers presents an opportunity for capacity expansion and the development of nutrient-use-efficient solutions.

Calls for streamlined regulations, such as a single national license for non-subsidized fertilizer sales, aim to facilitate wider market access. This move would support the sector's potential to deliver better crop outcomes with reduced input usage, addressing challenges posed by climate stress and water scarcity.